Will using your home based LLC cause issues with piercing the corporate veil?
Question Details: I am setting up an LLC and may use home address as physical address for small home wash business. I have a specific office space dedicated and would only write off that space. Is this legal or would this cause issues if litigation were to occur with piercing the corporate veil?
It will not automatically cause issues with piercing the corporate veil, but if you are not scrupulous about keeping LLC expenses separate from personal expenses, it could. Be sure to only write off the appropriate portion of your home and to not have the LLC pay home or personal expenses which you cannot show are truly those of the LLC. (Example: the LLC can pay to fix a broken light fixture in the room you use as the LLC office; it can't pay for electrical work elsewhere in the home.)
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